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Car Manufacturer Bailout?

What do you think of this? I say if we want to help our own companies here in the U.S., we should just put a temporary embargo on importation of foreign goods, such as cars. If people had to buy American cars, the American Car companies wouldn't go under would they?

I have always thought that there should be embargo's against foreign products that undermine our own companies here, which would also eliminate the problem of Companies shipping our jobs out of the country to save on overhead.

Answer Question

Asked by Sharon7772 at 4:11 AM on Nov. 19, 2008 in Politics & Current Events

Level 4 (36 Credits)
Answers (16)
  • The problem is that the American auto industry is not as progressive as foreign car manufactures. They need to streamline their business and retrain those who can't be transferred into greener and more efficent production lines. Several foreign companies manufacture their vehicles here (Ie. hyundai plant in Alabama.)

    Answer by LuvNMyBbs at 4:31 AM on Nov. 19, 2008

  • I think they need to file for Ch. 11 protection so they can be reorganized the PROPER way. The ideal of a bail out is absurd. With Ch 11 protection they HAVE to reorganized UNIONS and EXEC. With the bailout/loan, they are prone to less restrictions.
    I have a GM car and love it. I live in Toledo, Ohio and have watched these companies leave time after time. But enough is enough. Their BUSINESS is BAD for this country. They are working under 1950-1960 business models that DON'T WORK. They are employing union at $20-50 more per hour than the average industry worker. But yet their middle mgt has to retire WITHOUT healt insurance. WTF that is not balanced effective business. What is the incentive to be an engineer with GM if you know you are not going to have healt insurance when you retire but the union guy who just negotiated MORE than you does?

    Answer by myame at 7:17 AM on Nov. 19, 2008

  • I believe in free market. The government should not intervene AT ALL. If they go bankrupt too bad.

    Answer by JMGouge at 8:09 AM on Nov. 19, 2008

  • I'm afraid for all the people who might lose their jobs but I don't know what bailing them out will really do in the long run. Everything I keep hearing (and I'll admit this whole bailout issue is beyond me) says that the bailout will only be a temporary fix and the companies will still go bankrupt and not that longer after they would have without the bailout. So, what do you do?

    Answer by Xynyth at 8:55 AM on Nov. 19, 2008

  • Bailing them out will prolong our pain as a nation. If they don't reorganize and start building a more competitive product they will fail anyway. One competitive car (the Volt, which I haven't heard great things about), isn't enough to help them succeed.

    Answer by QuinnMae at 9:12 AM on Nov. 19, 2008

  • IF GM didn't make piece of shit cars, they wouldn't be in trouble. I will not buy another GM for a long time. we got burned with 2 chevy trucks, they drove us to toyota.

    Answer by teri4lance at 9:31 AM on Nov. 19, 2008

  • Bailing them out is not gonna help long term..its a short term fix! a band-aid!
    I will won't be able to afford a "brand new" car. I will be lucky if I have a job at the first of the year with the way it is looking right now.

    Answer by aimige at 9:33 AM on Nov. 19, 2008

  • let them fail. fail fail fail.

    Answer by JumpingHoops at 9:45 AM on Nov. 19, 2008

  • I agree that these companies need to start being more competitive with the cars they make. I had 3 American made cars and all 3 died right after reaching 100,000 miles. Two of them, Ford Thunderbirds, had the exact same problem, the head gasket. I had my Honda Civic from 99 till 08. It had 130,000 miles on it and the only thing going bad on it was the automatic passenger side window. I traded it in for another Honda. Yes, it is going to suck for all those people who will lose their jobs, I worked at a Kmart when they closed many stores, but government wasn't there for us then either.

    Answer by TheDragn01 at 10:04 AM on Nov. 19, 2008

  • We cannot put an embargo on foreign cars. What we could do is give them the money and require that they band together and purchase foreign car plans (Toyota has done this in the past) and then require Congress to negotiate with the UAW to reduce the UNBELIEVABLE salaries, and then lower emissions on car rules, and then the last one standing - wins.

    Answer by Fiveofakind2 at 10:19 AM on Nov. 19, 2008

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